SAP Master data governance

Implementation project (supplier)

Classification: Internal 2016-03-06
Master Data situation at Statoil
(BEFORE implementation of SAP MDG)

Ÿ  Many systems: ERP (with ZVRQ), Sourcing Cockpit, Synergy, Quourum, Contiki,
MPR Portal, Mail, Teamsite/Entry, Winshuttle, Excel/Access…

Ÿ  Not standardized / variation in how process is driven

Ÿ  Unclear procedures and process steps

Ÿ  Unclear roles and ownership

Ÿ  Significant presence of repeating steps / rework / loops

Ÿ  Several checks / approvals not contributing to increase quality: e.g. DUNS register,
Sanction/Blacklists, Achilles..
Ÿ  Many parties/roles/persons involved

2 Classification: Internal 2016-03-06

 Reality - fraud attempts and dealing with sanctioned
parties

http://a248.g.akamai.net/n/248/420835/60e19eb54ae503552c8a64269dcbb51349f1f324605c653ee4122bdb5f8bfdd1/sapasset.download.akamai.com/420835/sapcom/docs/2015/07/9e5947df-557c-0010-82c7-eda71af511fa.pdf

3 Classification: Internal 2016-03-06

 Business goals/purpose:
•  Improved governance in the Master data
Management process
−  audit trial (KPMG remark)
−  single Entry Point to maintain master data
•  Improved, simplified and uniform user experience;
−  enabling traceability and transparency (who, when,
what…)
“KPMG indicates that the lack of
documentation of quality control is
weakening our anti-fraud control,
and that there is a need to
document the handling of potential
duplicate vendors.”

•  Standardized Tools for ensuring data quality:

−  Duplicate check,
−  Data validation & Enrichment
−  Merging and Cleansing

•  One true master, distribute master data to all relevant

systems
−  e.g. Contiki, synergi, sourcing cockpit

4 Classification: Internal 2016-03-06

 Business case

•  Mitigate risk identified in project Vendor Masterdata Improvement and risks identified
by KPMG in audits. KPMG indicates that the lack of documentation of quality control
is weakening our anti-fraud control, and that there is a need to document the
handling of potential duplicate vendors.
•  Enhanced data quality
•  Fit-for-purpose solution for handling global requirements
•  Traceability of request handling including archiving
•  Structured approach to information to ensure integrity in supplier master data, to able
to fully comprehend the supplier dimension
•  Experience transfer to secure use of correct supplier

http://a248.g.akamai.net/n/248/420835/60e19eb54ae503552c8a64269dcbb51349f1f324605c653ee4122bdb5f8bfdd1/sapasset.download.akamai.com/420835/sapcom/docs/2015/07/9e5947df-557c-0010-82c7-eda71af511fa.pdf

5 Classification: Internal 2016-03-06

Project goals
•  Implement MDG for handling vendor master data
•  Ensure implementation of a simplified, standard and common MDG
solution

ü  Limited scope
ü  Limited budget
ü  Basis master data solution
ü  Road map for future development and configuration

6 Classification: Internal 2016-03-06

Project Scope

•  MDG will replace existing request tool (ZVRQ) for External vendors (account group
“0002”)
−  Except:
•  External vendors requested from MPR Portal – integration as before from
the portal into ZVRQ

•  All other vendors/account groups will be handled through ZVRQ, for now..

7 Classification: Internal 2016-03-06

 Ref. https://support.sap.com/content/dam/website/roadmaps/en_us/platform-and-technology/SAP%20Master%20Data%20Governance%20Road%20Map.pdf

8 Classification: Internal 2016-03-06

SAP Master Data Governance
•  Out-of-the-box applications for central MDM
−  SAP MDG for financial data (financial accounting / consolidation data,
companies, profit & cost centers)
−  SAP MDG for supplier data (corporate, company, and purchasing related data,
partner functions)
−  SAP MDG for customer data (corporate, company, and sales related data,
partner functions)
−  SAP MDG for material data (corporate, sales org, plant, storage, warehouse,
valuation & costing data)
−  SAP MDG for enterprise asset management data* (equipment, functional
location data, MRO bills of material)
−  SAP MDG for retail and fashion management* (single & generic article, listings,
hierarchies, char. for variants)
Ref. https://support.sap.com/content/dam/website/roadmaps/en_us/platform-and-technology/SAP%20Master%20Data%20Governance%20Road%20Map.pdf

9 Classification: Internal 2016-03-06

 SAP MDG - Benefits

•  Single Entry Point to maintain master data

•  Standardized Process to control data changes
−  Workflow based process
•  Standardized Tools for ensuring data quality
−  Duplicate check
−  Data validation & Enrichment
−  Merging and Cleansing
•  Transparency on the data changes
−  Who, when, what
•  Process Analytics
•  Data Flow Transparency

http://a248.g.akamai.net/n/248/420835/60e19eb54ae503552c8a64269dcbb51349f1f324605c653ee4122bdb5f8bfdd1/sapasset.download.akamai.com/420835/sapcom/docs/2015/07/9e5947df-557c-0010-82c7-eda71af511fa.pdf

10 Classification: Internal 2016-03-06

MDG – Data quality

Source: SAP MDG Overview nov. 2015

11 Classification: Internal 2016-03-06

SAP MDG – Architecture alternatives

•  MDG with HANA and Fiori

•  MDG without HANA, but with Enterprise Search (TREX)
•  MDG without HANA and without Fiori
•  MDG without HANA, without Fiori, and without Data Services DQM

12 Classification: Internal 2016-03-06

 Ref. https://uxexplorer.hana.ondemand.com/rest/mimeRepositories/11123/file/Deployment_Recommendations_MDG80_final.pdf

13 Classification: Internal 2016-03-06

SAP MDG –
Choice of Deployment and Architecture
SAP ERP P03
It was decided that business objectives would be reached
and substantial costs could be saved by installing MDG on
top of the existing ERP production line. MDG
- Master Data
=> so NO utilization of Fiori, Hana, Data Services, TREX, Governance for
Supplier
hub (separate system line/hub)
Automatic
=> Minimum work and deployment time creation in
vendor master

Pros: Cons:
-  Minimum system landscape -  Business Address Services
complexity and new related quality management Vendor
technology skills (parsing, standardization, Master
-  Minimum work, cost, risk, correction, matching,
time enrichment) features not
available
-  BAS-based search and
duplicate check not available

14 Classification: Internal 2016-03-06

SAP MDG –
Choice of Deployment and Architecture
Statoil
SAP ERP P03
Outlook
SMTP
MDG
- Master Data
Governance for
Supplier HTTPS
UI-client
Automatic
creation in
NWBC
vendor master Cockpit for
MDG

Vendor
Master

15 Classification: Internal 2016-03-06

MDG-project for Supplier – Timeline

•  Identified needs December 2015

•  Prototype in Sandbox
•  Rewrote needs to user stories
•  Established contract with 3rd part vendor for
implementation
−  Vendor provided 1 project manager, 1 business, 2
technical
−  Statoil provided 1 project manager, 2 solution
architechts, and when needed: 1 product owner,
Vendor Master Team and other end-users
•  Installed SAP MDG
Mid October 2016

16 Classification: Internal 2016-03-06

MDG-project for supplier – Timeline cont
•  Prepare and explore (3w): Mid October 2016
−  Rapid Deployment to get up the system for configuration
of needs
−  Agree with vendor on acceptance criterias
•  Realisation phase (10-12w):
−  Implement solution
−  Test solution
−  Resolve defects
−  User Acceptance Test (UAT)
•  Deploy phase (2w):
−  Roll-out
−  End-user training Go live 22. March 2017
−  Switch to production
•  Run phase (1w):
−  Go-live Support
−  Handover to 3rd party outsourcing partner June 2017

17 Classification: Internal 2016-03-06

Process (to-be)
Responsible Procurement (Purchasers/Contract handlers)
Check Check for Perform Validate
public US IDD check Bank MDG -
Search for relevance information
records/ • Send to IDD? Submit
supplier
verify • IRS • Send to request
mandatory CPU?
existence reporting
sub-process
Other Supplier Requester (Invoice verifier/Other)
MDG - MDG -
Search for Create Submit
supplier
request request

Vendor Master Team (VMT) (Approver/Establisher)

MDG - Perform MDG -
MDG - Process sub-process Approve
Worklist request request
18 Classification: Internal 2016-03-06
User interface –
Netweaver business client (NWBC)

19 Classification: Internal 2016-03-06

User interface (UI) - NWBC
Ÿ  One entry point – one workplace
Ÿ  Runs as portal/browser
Ÿ  Rich UI using Web Dynpro
Ÿ  Collects
−  Web dynpro applications
−  Worklists (POWL)
−  SAP reports
−  Links (URL)
−  SAP transactions
−  BW-reports
−  External links
−  SAP Fiori apps
−  SAP Screen Personas

20 Classification: Internal 2016-03-06

NWBC – Menu

21 Classification: Internal 2016-03-06

NWBC – menu for Approver/Establisher
(Vendor Master Team)

•  Links/Browser
sessions
embedded into
NWBC

22 Classification: Internal 2016-03-06

NWBC – SAP transactions
•  SAP transactions

23 Classification: Internal 2016-03-06

NWBC – Side panel (on roadmap)

24 Classification: Internal 2016-03-06

NWBC - Attachments

25 Classification: Internal 2016-03-06

NWBC – Change Request – New Supplier

26 Classification: Internal 2016-03-06

NWBC – My Change Requests

27 Classification: Internal 2016-03-06

NWBC – Workflow Log

28 Classification: Internal 2016-03-06

SAP Fiori
Please see an overview of existing SAP Fiori apps here:
https://fioriappslibrary.hana.ondemand.com/sap/fix/externalViewer/

For instance these are available:

• Request new Business Partner in MDG
• Request new Cost Center in MDG
• Request new Customer in MDG
• Request new Material in MDG
• Request new Profit Center in MDG
• Request new Supplier in MDG
• Tracking the status of raised MDG request

Please see updated roadmap on MDG here (January 2016):

https://websmp204.sap-ag.de/~sapidb/011000358700000627802013E.pdf

29 Classification: Internal 2016-03-06

MDG-S – Fiori – Request Supplier

•  Lean requestor form for a user new to MDG

•  Separate forms to create a Supplier as an organization and a person
•  Automatically generated list of potential duplicates
•  Track My Requests UI to track the request status
•  Option to upload attachments containing request details
•  Address format that automatically changes to EU or US when you enter the country

http://help.sap.com/fiori_bs2013/helpdata/en/e3/d64353d793e447e10000000a441470/content.htm

30 Classification: Internal 2016-03-06

Fiori – Requester – New request

•  This is «out of the box»:

•  Extend Fiori for any

additional fields or
functionality

http://www.sdn.sap.com/irj/scn/go/portal/prtroot/docs/library/uuid/b01f4a1a-a4a4-3210-b397-a5cc2eef18be?QuickLink=index&overridelayout=true&59983513260926

31 Classification: Internal 2016-03-06

Fiori – Requester – Checking for duplicates

32 Classification: Internal 2016-03-06

Fiori – Requester – My requests

33 Classification: Internal 2016-03-06

NWBC – Search functionality

34 Classification: Internal 2016-03-06

NWBC – Enterprise search

35 Classification: Internal 2016-03-06

After Go-live – Users Experience

•  Only to change requests that got processing error

•  Users did not receive enough information before Go live
•  They are reluctant to start using MDG
•  We need to force them to start using MDG
•  Instead of communicating using MDG/change request they are using Skype and e-
mail
•  They do not want to read user documentation rather have direct support from super
users

36 Classification: Internal 2016-03-06

After Go-live – Lessons learned

•  Important to inform the user

•  Provide course/learning
•  Establish support team/superusers
•  Documentation
•  Ad-hoc support from implementing partner

37 Classification: Internal 2016-03-06

 Synergi
Enterprise search
Roadmap (using TREX or HANA)
Contiki

Fuzzy search
Duplicate check
Quourum (landowners)
SAP ERP P03

MDG SAPBW
SAP BW
- Master Data
Replication SAP BW
Governance for
Supplier

Automatic
creation in PRA Module
vendor master - Land owners are SAP SRM Sourcing
created manually based
on Vendor ID

Vendor Sanction registry -

Master Bridger

Existing interfaces
Manual work
Interface
SAP MDG-S Implementation in Statoil

Cathrine Young-Halvorsen
Senior Analyst Information Technology
System Development
E-mail address cyha@statoil.com
Tel: +4790540136

www.statoil.com

39 Classification: Internal 2016-03-06